It’s amazing how even when you’ve been around in this small market for years, you keep getting wonderful surprises about the major development projects people get up and running on their own.  We’re finding lots of kiwis developing cool new products.  The big issue for us is helping to grow these into successful businesses.  There’s still almost no institutional money in venture capital in New Zealand.  If you know of an institutional investor who could be interested, let us know!

The new Limited Partnership Act 2008 came into force on 2 May 2008, which provides New Zealand with an internationally recognised regime to underpin investment in the venture capital and private equity industry.  This welcome legislation is the result of 5 years lobbying and development across our industry.  A summary of key aspects of the Act can be viewed on a dedicated section of the Companies Office website.

Both Jenny and Andy have been recognised for their contribution to the NZ tech sector and involvement across the wider NZ business community.  Listener have named Jenny among the 50 most powerful people in NZ in the fourth ListenerPower list while Andy has been named by Unlimited magazine as one of the country’s 45 most influential business people, in 2007. According to Listener Jenny is “the patron saint of the high-tech sector, her exclusive annual shindig, Morgo, attracts everyone who is anyone in the tech scene and provides and open, dynamic forum for entrepreneurs to make contacts and trade war stories from the entrepreneurial battle front”. And Unlimited have Andy on their list for being the inaugural World Class New Zealander in 2003; the chair of the ICT panel of NZTE’s US beachhead; (and of course!) the role he plays here at No 8 Ventures.  

Smart Orthotics Limited, a company that is developing a robotic exoskeleton for disabled users, today announced that it has received venture capital funding from No 8 Ventures.  The new capital will be used to support further product development, production engineering and enable a release to market of their Robotic Mobility Aid for disabled persons.

“There have been dramatic advances in robotics over the past one to two years.” said Jenny Morel of No 8 Ventures. “We believe that Smart Orthotics is at the forefront of these technological developments and is building a great product that will serve a large and important unmet market need.”

Richard Little, CEO of Smart Orthotics Limited, said, “This investment by No 8 Ventures is a significant step forward for the company.  Smart Orthotics has spent three years developing the artificial intelligence and robotic systems that enable its ‘smart’ mobility aid to function and with this investment Smart Orthotics can now move ahead more rapidly in taking this product and functionality to the end user”.

Smart Orthotics Limited (SOL) is a New Zealand technology company that has designed and developed a ‘smart’ disability aid employing the latest robotic technologies.  Their robotic exoskeleton is worn on the lower limbs by a disabled person providing the user with a normal range of mobility functions including standing, sitting, walking, ascending and descending stairs and navigating sloping surfaces. Their vision for a robotic exoskeleton that restores mobility was prompted by the limitations of the wheelchair.

For the introduction of the kiwi saver scheme in April 07, the NZ Government is changing portfolio investment rules – making investment in NZ and Australian shares free of tax on gains, but tightening up tax of gains on shares elsewhere.  These offshore share value gains will all be taxed annually on an imputed unrealised return of 5% p a.  We have negotiated a carve out for the venture capital industry, and for other investors in young companies which move their incorporation from NZ to raise more money so they can grow internationally.  See pages 12 & 13 of the IRD publication on Offshore Investment Tax.